For those of us who have the good fortune of living in a town with a Major League Baseball franchise, it may be easy to overlook the solid success story happening in Minor League Baseball (MiLB).For eight years running, regular-season MiLB attendance for minor league teams affiliated with major league teams has topped 41million fans. The total figure for 2012 is 41,279,382, an increase over 2011, and these figures do not include the various playoffs now in progress for the 15 leagues and 175 MiLB clubs.Think about it — steady and consistent performance, even through the Great Recession, for an industry that lives by the mantra “affordable family entertainment.” How do the minor league clubs do it? What is it that they have right? Can other businesses learn from this success story?There are a number of positive indicators, and we will point to a couple:Affordable family entertainment
This is one of the core values of the minor league teams that operate within the structure of the National Association of Professional Baseball Leagues (NA), the umbrella organization that governs and represents the minor league clubs that are affiliated with major league clubs. The NA has a history borne of business necessity and survival during the hard times that MiLB clubs have experienced in the past; it's done it through good old hard work and trial and error.One of the many high quality services that the NA provides its members is marketing leadership. The NA and its member clubs know that they are competing for family dollars (with movies, restaurant meals) and family time (with school activities, Little League teams). The clubs must establish a quality entertainment experience for an affordable price. Most of the time, the best ticket in the house is $10, and the family can take advantage of many discount packages involving food and beverages.Another interesting point involves the focus of the marketing. The major league club at all times has the discretion to move players from team to team within its minor league structure. So the minor league club cannot market the individual players — a player may be gone next week. The minor league clubs focus on the family entertainment experience. Thus, you have the wonders of the dizzy bat contest, the mascot race and the kids-run-the-field event. You may have noticed, by the way, that major league clubs have started borrowing these ideas.Stable business structure
Thanks to a strong relationship with Major League Baseball through a series of negotiated agreements and the federal antitrust exemption that baseball enjoys, MiLB clubs have the advantage of a very stable business environment.The basic deal is this: The major league club provides the on-field talent — the players and the coaches. In exchange, the minor league club provides a quality environment for player development, including a playing field and a facility that must meet certain standards.As long as these fundamental obligations are met, the minor league club has a near guarantee of always having a major league club as an affiliate. Also, many clubs have territorial rights, so that the club may veto a competitor MiLB club from moving into the territory.How does this deal help the clubs? In many ways. One advantage is that the minor league club now has the ability to enter into a long-term lease for a ballpark. This advantage leads to investment in better facilities.Another advantage is that the club can invest in the marketing and good will generation that builds itself over the long term. Hence, most minor league teams have strong ties with community organizations, schools, civic groups, and of course Little League and other amateur teams.The right way
As you can see, Minor League Baseball is doing many things right. And these things apply to just about any business model. A successful business usually has identified what it does best and focuses on that mission — in this case, affordable family entertainment.For another, a successful business usually has found a stable foundation for long-term success. Most businesses can't count on an antitrust exemption, but keeping a consistent approach within an industry may lead to long-term success.If you haven't caught a minor league game in a while, check it out. You'll have a fun time at the ballpark, and it won't cost you a lot of dough.